Question

Compute for the Net Asset Value of a company with 50,000,000 million shares holding an asset of 60,000,000 and liabilities of 25,000,000

Answer 1

Answer:

The key to this problem is to recognize that the cash a company receives when it issues stock is based on the number of share issued and the market price per share. The company would receive $9,000 when it issues the 1,000 shares.

1,000 shares x $9 market price per share = $9,000 cash.

See text exercise 12.1 for similar material.

Answer 2

Answer:

compute net Asset value of a company

Explanation:

50000000 million value holding

5

+ 0

------

50000000 million value holding

6

+ 0

-------

600000000 million value holding

25

+ 00

--------

250000000 million value holding

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